Land Prices in Bulgaria
According to estate agents, the most popular for property investment and property development place is the land in Bulgaria along the Black Sea coast. Most enquiries are from foreign investors searching for front line development plots with restricted sea views, but these properties get fewer and fewer. Prices get higher and higher form one year to another.
The land prices in Bulgaria vary considerably depending on the area in which you intend to buy, the size of plots and the building use of the land.
The common plot sizes for building a family house vary from about 600m2 to 1100m2, with price of €20/m2 for land in villages to €130/m2 for prime front line development plots with sea views. The price of agricultural land, which is unregulated land, (so building is not yet permitted - you need a permission from the municipality; this requires some time and more money, but can be done easily if you know the right people :), costs about €3/m2.
Owning Land in Bulgaria
In Bulgaria, foreigners don't have the right to own land. The only way to go around this problem is if you register as a Bulgarian limited company which will actually own the land. Here you may ger more information on opening a limited company in Bulgaria.
If you have found a plot of land you want to buy, ensure that you intrust a reputable solicitor to transfer the title of the land without difficulties. He must study carefully everything connected to the land - previous owners, inheritors, bounderies, master plan of the municipality, correct land title deeds, etc.
Buying land is superb. You simply buy at low cost and then resell at higher - the perfect deal. You don't have to worry about property maintenance and quality of finishing if you buy an apartment, for example. No matter at what price you buy the land you can resell it after 1-2-3 years for better price. Or, which is even more profitable, you may plan to build a complex or fatcory there.
The only minus of owing land in Bulgaria is that you will need to fund the total cost of the asset from your own resources. But this is risk you take no matter what you decide to buy, isn't it?
What is Regulated Land in Bulgaria?
Regulated Land versus unregulated land
Plots of land in Bulgaria a re ususally spoken of with the terms 'regulated land' and 'unregulated land'.
If you are viewing unregulated land, then this typically means that yet the authorities haven't marked this area for development. This doesn't mean that you can't build there, but you would need to go through a legal process to convert the land to 'regulated'. Regulated land, therefore means that the land has been marked for development (e.g. building)
When viewing land it is very important to establish whether the land is regulated or not. Thus you will determine terms and difficulties for bulding a property on it. Some agents will tell you that they can help you get the land regulated. And this is true. Usually the big real estate agencies have contacts in the municipality and getting a permission won't be hard. However, it is better to get independent advice about this.
You will typically hear claims that regulation can take anywhere between one and six months. But there is no ‘official’ length of time by which regulation of land can be obtained, and therefore there is also no guarantee, as such, that unregulated land can be granted.
The safest option for you would be to purchase regulated land. But of course the price of this land is more expensive then unregulated land. For example, in a village near Bansko the price for regulated land was €100/m2 and for unregulated land, some 200, 300 meters outside the village - €18/m2.
And in the end, but maybe, the most important thing is to try to contact directly the seller - thus you won't have to pay the high comissions of the property agencies. The same plots of unregulated land mentioned above, were put on sold by an agency for €55/m2 (almost 3 times higher).